Because of diminishing trade with Europe following World War I, South America became

Answer 1

increasingly isolated and began to look inward for economic opportunities. Countries in South America started to focus on developing their own industries and resources, leading to a period of economic nationalism and protectionism.

This shift towards domestic economic development marked a turning point for South America, as countries sought to reduce their dependence on foreign markets and promote self-sufficiency. This period of economic nationalism led to the growth of industrial sectors and diversification of economies in the region.

Overall, the diminished trade with Europe following World War I played a significant role in shaping the economic policies and development strategies of South American countries during this time. It also laid the foundation for a more self-reliant and independent approach to economic growth in the region.